A minority investor in REC Silicon has submitted a petition to US courts for information regarding the involvement of Hanwha Group in the activities of REC Silicon. The petition claims that Hanwha Group, currently the largest shareholder of REC Silicon, deliberately the Polysilicon production -efforts of REC Silicon in Moses Lake, Washington, has tanks to grasp the company’s full ownership.
The production of the production of Moses Lake
REC Silicon, a Norwegian company, has a long history of the production of polysilicon in Moses Lake. After he was one of the best Polysilicon producers in the world, a series of market events forced REC Silicon to close his factory in Washington in 2018. In 2022, the Korean conglomerate Hanwha Group became the largest shareholder of REC Silicon, who provided cash money to provide the production of production and a safe supply contract to the Hanwhha Qcells Solar Panel production operation in Georgia. REC Silicon was restarting the production of polysilicon to Moses Lake when the end of 2024 stopped abruptly with all activities.
REC Silicon stated that it was unable to continue the activities in Moses Lake after it had received a “failed qualifying test” received by his “customer”. At the time, Hanwha was considered the only customer of REC Silicon, because it had an exclusive 10-year delivery agreement.
In April 2025, Hanwha sent an range of $ 88.6 million to acquire all outstanding shares of REC Silicon and to make the company private. The board of directors of REC Silicon, largely represented by Hanwha seats, “unanimously recommended” that shareholders accept the Hanwha deal. Norwegian minority shareholders very quickly expressed their opposition against the deal and wrote a letter to “Stop the stem.“
Water Street Capital, an investment firm that represents minority shareholders, submitted the petition to the US court of the Washington Eastern District. It requires information from REC Silicon to submit a suitable civil lawsuit in Norwegian courts.
Water Street Capital claims that Hanwha has made misleading statements to the other shareholders of REC Silicon by “not revealing the activities in the Moses Lake facility, ended the experienced employees of the factory, continuously changed the production procedures and deliberately caused a recyclon to have a recyclon of her product that would have a recyclon of her product that would have a recyclicon to show a recyclon of her product that to terminate the delivery contract. ” After the stock price of REC Silicon had collapsed after the factory closing in December 2024, Water Street Capital says that Hanwha was able to start a takeover bid for “pennies on the dollar.”
In the meantime, Hanwha sent one letter To the Silicon board of directors on 24 June in Recly, which states that if the voluntary offer was not accepted, “Hanwha might no longer be able to provide extra financing to REC Silicon.” It seems that REC Silicon does not have enough money available to continue the activities for the year. Shareholders would vote on the bid yesterday, but that was Extended to July 8 And may be extended to 1 August.
Water Street Capital has asked that his petition for discovery is being accelerated for the coming vote of the shareholders, but nothing has been decided yet.
